More jobs cuts feared at TDK-Lambda

By khelyer

DRASTIC action has been proposed by one of Ilfracombe's biggest employers in a bid to survive the current economic crisis.

Manufacturing firm TDK Lambda UK, have announced they are in consultation with staff for the second time this year, with a view to further job cuts.

The move is likely to result in 18 redundancies and short-time working for all employees for the next nine months.

If confirmed, during a 10-day consultation with the Works Council, it will bring the total to 57 jobs lost from a 300-strong workforce at the firm this year.

Managing director Adam Rawicz said other cost saving measures would also be introduced which could include a reduction in the number of employees working shifts. The decision follows close on the heels of the 39 redundancies announced by the firm in April.

At the time, Mr Rawicz said a significant reduction in sales since last September had led to the decision — and now he confirmed "with deep regret" that more redundancies were necessary, following a further sales slump.

TDK Lambda manufactures equipment which converts mains power to low voltages for specialist electronic equipment, including scanners and X-ray machines in hospitals, scientific equipment such as electron microscopes, broadcast equipment such as mixing desks and large display screens.

Mr Rawicz said: "The outlook has taken a substantial downturn since we planned the last set of cutbacks, so now it has become necessary to go into consultation with employees about further cutbacks.

"TDK-Lambda deeply regrets the necessity for these actions but believe they are necessary to preserve the ability of the company to recover when economic conditions improve."

Ilfracombe Mayor Philip Webb said the potential job cuts were a blow, but needed to be put into context. "This is happening all over the country, not just in Ilfracombe and we probably have more potential for regeneration than anywhere else in the country," he said.

He cited examples including investment in the seafront regeneration, studies of the harbour's potential, the ferry service and progress on the all-weather pitch plans.

"These all provide the potential for creating new jobs. It's not a quick fix, but it will all make a big difference to how Ilfracombe will look in a few years' time," said Mr Webb.

"There is investment in Ilfracombe — look at the two chaps who have spent so much money regenerating the Capstone Restaurant, and those who are doing up the Britannia. That's just two examples and there are others currently in negotiation."